Gaw Capital sets sights on US$1b overseas purchases
Private equity firm Gaw Capital Partners is poised to take minority stakes in four commercial property acquisitions in the United States and Britain in ventures with mainland Chinese and Asian partners, involving a gross value of US$1 billion.
Private equity firm Gaw Capital Partners is poised to take minority stakes in four commercial property acquisitions in the United States and Britain in ventures with mainland Chinese and Asian partners, involving a gross value of US$1 billion.
The deals will follow the real estate fund's tie-up with South Korean institutional investors to acquire Waterside House, a London commercial building which houses the global headquarters of retailer Marks & Spencer, for US$321 million.
"In the next three months, we will sign two deals in the US and two in Britain," said managing director and principal Goodwin Gaw. Gaw Capital will take a minority stake in each project.
A partner in one of the deals was a mainland state-owned enterprise, Gaw said. He expects more Chinese institutional investors to follow its lead.
"We received cold calls from Chinese institutional investors after we helped Ping An Insurance arrange the Lloyd's Building deal in London," Gaw said.
In July, Ping An paid £260 million (HK$3.3 billion) for the building, making it the first direct overseas property acquisition by a mainland insurer. Gaw Capital advised on the deal.
"Chinese investors are cash-rich. This is just the beginning," Gaw said.
